Media & Insight

Financing growth in the pharmaceutical industry

How Pemberton helped a leading pharmaceutical and biotechnology company grow its core services and expand its development and manufacturing capabilities.

Overview

Quotient Sciences is a leading provider of research and development services to pharmaceutical and biotechnology customers around the world.

Dedicated to accelerating the development of new drugs for patients, its services include formulation development, clinical pharmacology and both clinical and commercial manufacturing services.

With over 850 staff based in state-of-the-art manufacturing and clinical facilities in the US and the UK, Quotient’s vision is to transform drug development with science and innovation to accelerate the delivery of new medicines.

Translational Pharmaceutics® is the company’s novel approach to drug development, which reduces costs and shortens timelines by integrating formulation development, real-time adaptive Good Manufacturing Practice (GMP) and clinical research for the continuous improvement of development programmes. On the back of Translational Pharmaceutics®, Quotient has grown significantly in recent years, and now generates annual revenues in excess of £100m.

Fuelling the next stage of growth

As the next step in its impressive growth journey, Quotient planned to broaden its core services as well as expand its formulation development and manufacturing capabilities. To facilitate this, the company undertook a sale process of a majority stake to a company backed by Permira Funds. Pemberton, a key partner to Quotient already, remained in situ to support that growth plan under Permira’s new ownership.

Pemberton’s solution

Pemberton already knew Quotient well, having provided a Term Loan in support of GHO Capital’s acquisition of the business in 2016. Following that transaction, Pemberton provided incremental capital in support of Quotient’s M&A and capex strategy between 2017 and 2018. When it came to the sale to Permira, Pemberton was closely involved in the entire process, initially working together with previous owner, GHO, and management to understand its priorities in the future capital structure under new ownership.

The Quotient credit story is far from straightforward, having expanded both its geographic presence and breadth of services. Pemberton’s familiarity with the company enabled the team to provide expert views as an existing lender with prospective bidders.

Ultimately, Pemberton was able to offer a “staple” financing, providing a certainty that supported the sale process. Once approved, the Pemberton team was able to turn around the financing documentation very swiftly, aiding an efficient transaction. Critically, Pemberton was able to provide the entire debt package for the sale, including ample flexibility around acquisitions to support further growth.

Roberto Biondi, Partner, Permira, said:

“Pemberton’s speed, commitment and confidentiality were instrumental in securing certain funds at attractive terms on a very accelerated timeline.”

Gordon Cameron, Chief Financial Officer, Quotient Sciences, said:

“Pemberton has supported us since 2016 and provided capital for both acquisitions and capital expenditure which helped our rapid growth. We have enjoyed working with Pemberton and felt they always understood our business and strategy, so when Permira decided to buy the business, we had a strong preference to continue our relationship with Pemberton. We were pleased with Pemberton’s speed of execution during a tight M&A process and appreciated their ability to structure the new debt financing to reflect the growth and maturity of the business. We look forward to working with Pemberton over many years to come.”

Contact us

Business Development:
Contact: Antoine Josserand
antoine.josserand@pembertonam.com
Tel: +44 (0) 20 7993 9311
Contact: Cary Gibson
cary.gibson@pembertonam.com
Tel: +44 (0) 20 7993 9323
Media Relations:
Contact: Carl Leijonhufvud
cleijonhufvud@headlandconsultancy.com
Tel: +44 (0) 20 3805 4827
Contact: Viktor Tsvetanov
vtsvetanov@headlandconsultancy.com
Tel: +44 (0) 20 3435 7469
> €7.6bn
ASSETS UNDER MANAGEMENT1
19
TARGET COUNTRIES WHERE WE SEEK
LENDING OPPORTUNITIES
95+
PERSON DEDICATED TEAM2
40+
INVESTMENT PROFESSIONALS ACROSS EUROPE
97
INVESTORS GLOBALLY1
8
LOCATIONS ACROSS EUROPE, CLOSE KNIT LOCAL COVERAGE OF EUROPEAN BORROWERS3

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